2. HISTORY
• Starbucks Corporation - an American global coffee
company based in Seattle, Washington, started
in march 1987
• Largest coffee-house company in the world
with 20,891 stores in 62 countries.
• President and CEO - Howard Schultz.
• Places high value on ethical behaviour and
company-wide diversity.
• Offers espresso menu items, refreshments and
pastries, merchandise, brewing accessories,
gifts and books.
3. OBJECTIVES
Starbucks primary goal is to provide:
• total customer satisfaction by ensuring
their coffee is available in all varieties
• reasonably affordable prices
• meeting and exceeding customer
expectations.
• Providing perfectly made coffee
taste,richness and image of “premium
coffee”
4. • “Establish starbucks as the
premier provider of the finest
coffee in the world while
maintaining their
uncompromising principle while
growing at the same time”.
5.
6.
7.
8.
9. STARBUCKS USP
• Starbucks tried to position themselves as
a premium product in the coffee industry
by creating a high standard, introducing
innovative products and providing
excellent service.
• Inspiring and nurturing the human spirit-
“one person, one cup, and one
neighborhood at a time”
10. MARKETING STRATEGIES
• Giving personal touch to customers.
• Great word of mouth.
• Clusters of coffee shops.
• Adding value
• Great offers
11.
12. MOBISTAR
• Starbucks ads not only expand to full screen of
cell phones, but also incorporate feature of
swipe, tap and shake for users to engage for
brand.
• Consumers receive an image featuring images
of animals holding frappuccino of their own.
• It’s no surprise that Starbucks was
named Mobile Marketer of the Year twice in
the past three years payment volume has seen
a 73% increase year-over-year, according to
Business Insider.
19. DISTRIBUTION CHANNELS
• Uses multiple channels of distribution;utilises
more than one distribution design.
• Sell products through direct retail system in
company owned stores.
• Also sells in supermarkets and shopping
centers.
• Distribution agreement with office coffee
supplier,hotels&airlines.
• Reach wider market& glorify brand name.
22. 3 STEP EVALUATION:
1. Recognizing supply chain organization;
simplifying structure.
2. Focus on reducing costs; improving supply
chain execution.
3. Lay foundation for supply chain capability for
the future.
23. SINGLE GLOBAL LOGISTICS
SYSTEM
1. Brings coffee from Latin
america,africa,asia,us and Europe in ocean
countries.
2. Unroasted beans sent to 6 storage cities.
3. Transported to several distribution
centers(DC’s)..
4. 5 DC’s in US,2 company owned,3PL’s(third
party logistics)
5. 33 CDCs in US,7 in Asia,5 in canada,3 in
Europe.
24.
25. WHEN SALES FELL SHORT
• On sep.28,2014 starbucks reported its
sales revenue at $4.18 billion; fell
short of $4.24 billion.
• Due to this, share price went down
4% at $74.04.
• So, what was it that they followed
and applied their backup plan.
26. WHAT THEY DID?
• The sales force started working with their
targets for online delivery of starbucks
products.
• Moreover, they launched Fizzio soda drinks
and tea variants to increase their sales.
• To boost sales they started revamping their
sandwiches and added a variant like grilled
sandwich and the sales team made sure to
work according to the new target in 2015.
